This Month in Crypto: Investors Anticipate Bitcoin ETF approval

Many investors are now anticipating the approval of a spot Bitcoin exchange-traded fund (ETF) in the United States early 2024, despite concerns raised by the U.S. Securities and Exchange Commission (SEC). Bloomberg ETF analysts predict that the SEC will greenlight a spot Bitcoin ETF by January 10, 2024, even with last-minute amendments being added by applicants.

Ongoing meetings and calls between the SEC and multiple spot Bitcoin ETF filers have been seen as a positive sign. Discussions between the SEC and asset managers with pending spot Bitcoin ETF applications have progressed to technical details, indicating a potential imminent approval.

Approval of the first U.S. spot Bitcoin ETF is eagerly awaited by investors. The SEC’s discussions with asset managers have advanced, signalling potential approval in early January. If approved, it would be a landmark for cryptocurrency investors, making the asset class more accessible.

According to Galaxy Digital, spot Bitcoin exchange-traded funds (ETFs) may witness inflows of AUD 21 billion in the first year after issuance. The fund suggests that ETFs could be a more attractive investment option than existing products like trusts and futures. The potential inflows could increase to AUD 40 billion in the second year and AUD 57 billion in the third year.

Investors are expecting potential short-term volatility in the crypto markets as the introduction of spot Bitcoin exchange-traded funds (ETFs) unfolds however, the long-term outlook appears highly promising with greater adoption, liquidity and accessibility.

More news stories circulating the block:

• El Salvador’s Bitcoin bonds, anticipated to debut in Q1 2024
• From 2024 onward South Korean officials will be obligated to publicly disclose their cryptocurrency holdings
• Bitcoin continues to achieve record hash rate with fees surging to a 20-month high
• In Argentina, contracts can now be settled in Bitcoin, as revealed by Foreign Minister
• A US court approves a settlement against Binance, with the crypto exchange paying AUD 4 billion and former CEO Changpeng Zhao fined AUD $220 million to resolve a CFTC enforcement action.
• The Solana Saga phone sells out on its official website due to a BONK memecoin airdrop frenzy
• Ledger addresses a vulnerability after several DApps were compromised due to the exploitation of Ledger’s connector library

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